Key Takeaways
- CFTC regulators who questioned Polymarket, Crypto.com, and Gemini operations were placed on leave and eventually forced out
- Each of the three companies maintains business connections with members of the Trump family
- Leadership at CFTC, including acting chair Caroline Pham and her legal counsel, stepped in to assist these firms over staff opposition
- Cryptocurrency enforcement actions plummeted from more than 80 during Biden’s term to merely two under Trump
- Pham and her counsel subsequently accepted positions at companies they previously assisted in approving
A sweeping investigation by The New York Times, released Sunday, revealed that Commodity Futures Trading Commission senior personnel who voiced objections about three cryptocurrency and prediction market platforms faced suspension, internal scrutiny, and ultimately dismissal during the Trump administration. The investigation relied on internal agency documentation and conversations with over 30 individuals currently or previously employed by the agency.
The investigation centers on three platforms: Polymarket, Crypto.com, and Gemini’s affiliate Gemini Titan. All three maintain financial connections to the Trump family network.
Polymarket secured funding from 1789 Capital, an investment fund with partial ownership by Donald Trump Jr. Crypto.com partnered with Trump Media to launch “Truth Predict” on the Truth Social platform. The founders of Gemini support American Bitcoin, a venture co-established by Eric Trump.
Regulatory professionals at the CFTC identified distinct issues with each platform. Concerns included Crypto.com’s treatment of retail bettors, Polymarket’s insufficient safeguards against fraudulent activity, and Gemini Titan’s premature operations before completing mandatory regulatory assessments.
Leadership Interference
According to the Times report, Caroline Pham, who was serving as acting CFTC chair, along with her chief counsel Brigitte Weyls, intervened in each matter. In one documented case, Weyls allegedly distributed a draft memorandum to staff advocating for Gemini Titan’s approval before the review process concluded. Established protocols dictate that staff members independently author such recommendations. The application received swift approval.
As 2025 drew to a close, two officials who had challenged these companies found themselves on administrative leave and subject to internal investigations. Three additional personnel with crypto enforcement responsibilities met similar fates. None received explanations for their treatment.
Agency insiders and former employees informed the Times that the implicit warning was unmistakable: refrain from creating obstacles for these sectors.
Dramatic Decline in Enforcement Activity
During President Biden’s tenure, the CFTC initiated over 80 enforcement proceedings related to cryptocurrency. Under the present Trump administration, that figure has collapsed to just two cases, both targeting individual actors rather than established platforms.
The commission also abandoned no fewer than five cryptocurrency investigations, including an advanced inquiry into a prominent exchange.
Pham subsequently departed the CFTC for MoonPay, a cryptocurrency company with partnership ties to Polymarket. Weyls assumed the role of general counsel at Gemini Titan, the identical entity whose approval she facilitated.
Michael Selig, the current CFTC chair and the agency’s sole sitting commissioner, previously provided legal representation to cryptocurrency companies in private practice. Trump has yet to nominate candidates for the four empty commissioner positions.
The House Agriculture Committee recently called upon Trump to fill these vacancies, cautioning that the agency cannot adequately fulfill its mandate with only one commissioner.
The White House rejected allegations of impropriety. “President Trump only acts in the best interests of the American public,” spokesperson Davis Ingle stated to the Times. “There are no conflicts of interest.”
Earlier this month, the Senate Banking Committee voted 15-9 to advance the CLARITY Act, legislation that would substantially expand the CFTC’s jurisdiction over digital commodity markets.
